The 2008 QuadraMed Incentive Compensation Plan (ICP)
This document provides details of the 2008 QuadraMed Incentive Compensation Plan (“ICP”).
The Board of Directors (“Board”) and/or the Compensation Committee of the Board (“Compensation Committee” ) retain
the right to make changes to or deviations from the ICP at any time.
Participation and Performance Period
Performance Measures and Standards
There are two components that constitute the ICP targets for FY08: corporate objectives and individual objectives. The
components will be measured are as follows:
On or before March 30, 2008, the Board will establish in writing the following:
(i) the targeted EBITDA for FY 08. Should measured adjusted EBITDA fall short of the target, the ICP pool will be
decreased by the amount of the shortfall so that the reported adjusted EBITDA for the Company can be equal to or greater than
the target. Total bonus potential will be based on achievement of such adjusted EBITDA;
To attract, retain and motivate valued talent by offering a market competitive incentive- based compensation
To support our pay-for-performance philosophy by rewarding management for achievement of company financial
targets and differentiating the payment based on the achievement of individual goals;
To align the interest of management with the interests of our shareholders and customers to achieve individual goals
that will drive business success; and
To signal important organizational performance priorities.
The ICP will measure performance over the fiscal/calendar year of January 1, 2008 through December 31, 2008
Employees in resource management positions (managing others) or those whose roles are identified as resource
management positions in the future, will be eligible to participate in the ICP. The total bonus potential is based on a
targeted percentage based on m